New York Times (April 17)
“If one country defaults on its loans, it’s a big problem for its citizens. If a dozen countries default, it’s a big problem for the world.” Nearing the “verge of yet another debt crisis,” world leaders can still act to prevent it. “They should dust off the tool kit that helped end the Latin American debt crisis, especially the measures that convinced creditors to share the pain and accept less than what they were owed.”
Tags: Citizens, Creditors, Debt crisis, Defaults, Latin American, Leaders, Loans, Owed, Pain, Prevent, Tool kit, Verge
Bloomberg (April 8)
“Almost $1.5 trillion of US commercial real estate debt comes due for repayment before the end of 2025. The big question facing those borrowers is who’s going to lend to them?” Morgan Stanley has estimated “office and retail property valuations could fall as much as 40% from peak to trough, increasing the risk of defaults.” Regional banks are now skittish about lending and “the wall of debt is set to get worse before it gets better.”
Tags: $1.5 trillion, 2025, Borrowers, Commercial real estate, Debt, Defaults, Morgan Stanley, Office, Peak, Regional banks, Repayment, Risk, Skittish, Trough, U.S., Valuations
